Think of your favorite local bakery, jewelry shop, restaurant, flower shop or even your dentist’s office. Most likely, these are all small businesses! Arizona’s small businesses make a big impact on the economy and are at the heart of what makes our state unique.
“There are so many opportunities for small business here in Arizona,” said Kristi DeWitt, director of small business sales and service at Delta Dental of Arizona. “I think that’s why they’ve continued to thrive. It’s the land of opportunity.”
What Does Arizona Consider a Small Business?
The Arizona Department of Revenue defines a small business as having at least two full-time equivalent employees who are Arizona residents and whose sole responsibilities are not administrative. These businesses must have some of their operations at a physical location in Arizona and are typically 500 employees or less.
Shocking Arizona Small Business Statistics
- Arizona is a small business state. In 2022, there were 641,025 small businesses in Arizona. That represents 99.5% of all businesses in the state!
- Approximately 1.1 million Arizonans are employed by small businesses. They represent 42.5% of all employees in the state.
- A record of 10 million small businesses have opened in Arizona in the last two years, according to AZ Business Magazine.
What Makes Arizona a Good State for Small Business?
Arizona is one of the best states to start a small business, Forbes reports. Operating costs are lower than most states, making it easier to start and run a business. Small businesses also bring many career opportunities to the state, which helps keep the unemployment rate low. Arizona saw a historic unemployment rate of 3.2% last year and small businesses played a huge part in keeping that percentage stay low.
Small businesses have had a major impact on the state’s economic growth. Arizona’s economy remained strong through the pandemic and continues to grow with the nation, reaching a 2.5% growth rate in 2022. Small businesses learned to adapt and started working smarter, learning new ways to best serve their customers and building on unique business ideas.
How Can I Support Small Businesses?
There are endless ways to support small businesses! Start by looking around your neighborhood and go to a local florist for flower arrangements, find an Arizona-based winery for a fun date night, hire a friend’s catering business for your next company lunch, donate to a nonprofit that makes a difference in your community, or schedule your next teeth cleaning with your neighborhood dentist office.
How Does Delta Dental of Arizona Support Small Businesses?
Recognizing the importance of small businesses to Arizona’s economy, Delta Dental of Arizona launched our small business unit in 2016. This team is dedicated to understanding and meeting the benefits needs of Arizona’s small businesses. One discovery they’ve had? Many small business owners are unsure what to look for when choosing a dental insurance plan. With resources like 5 Tips for Choosing a Dental Benefits Plan for Small Businesses and Choosing the Right Dental Plan for Employees, Delta Dental of Arizona makes finding the right dental plan for your small business easy.
We’ve also created affordable dental insurance plans and vision insurance plans designed to meet the needs of small business owners. For example, flexible funding arrangements allow small business owners to contribute as much—or as little—as they want to their employees’ dental and vision care. Voluntary dental and vision plans allow even the most budget-conscious small businesses to offer benefits.
“There is such a plethora of businesses here in Arizona,” said DeWitt. “Here at Delta Dental of Arizona, we are lucky to work closely with amazing ones. We are committed to offering big benefits to small businesses.”